Italy is relaxing its Ban and Coming down Easy on Cryptocurrencies

Egypt banned all cryptocurrencies per Islamic
Law. There is a proposed bill focused on
banning the creation, trading, and promotion of cryptocurrencies without any
license.

Shawki Allam, the current Grand Mufti of Egypt, stated
early in 2018 that technology might probably undermine the tax system through
money laundering and several other fraudulent activities. The Grand Mufti previously expressed concerns
regarding volatility and scams.

Now, since the cryptocurrency is expanding in the
neighboring states, Egypt is considering to explore the opportunities by
softening the stance.

The bill proposes that the board of directors of
the Central Bank of Egypt (CBE) will be given the exclusive right to regulate the
cryptocurrencies and requiring them to increase the numbers of expensive
licenses to do business potentially.

The new law provides the powers to The Board of
Directors to frame rules and procedures to regulate all transactions related to
cryptocurrencies, ranging from electronic payment orders, transfer orders,
settlement of electronic checks, electronic discount orders, and issuance of
electronic checks, etc. The draft bill
is not yet made available for public reading.

A recent research paper from the University of
Vaasa in Finland has researched the chances of a cryptocurrency default. This study is important at this point because
at present there are more than 2000 cryptocurrencies. The research reports that about 743 coins have
defaulted. The default levels are not
encouraging. Understanding the
indicators for default is important to understand, which cryptocurrency will
ultimately bust.

The performance of a coin on the first day of its
launch has a lot to reveal about how the crypto will perform down the lane. A
coin with a great day one and stability for the first month is less likely to
bust. While the current indicators are
early models, the researchers are confident that these results are good at
predicting results.

Those companies who are into a lot of pre-mining
are very likely to fail. The research
indicates that pre-mining by itself is not harmful, a lot of it is, however, an
indicator of a company which might bust.

Those companies that have anonymous founders are
an indicator of bankruptcy. It has been
seen that nearly 79% of the defaulting cryptocurrency companies have had
unknown founders. Companies which have
lower minimal rewards per block are likely to bust. Most cryptocurrencies are likely to bust in 4
years if they prove decisive on the negative indicators.